Boulder Commercial Kitchen
For Sale
Contact for pricing
5741 Arapahoe Ave, Boulder, CO
Premium commercial kitchen space in a prime Boulder location.
Property Size5,226 SF
Lot Size4.46 Acres
Price / SF$255.45
Days on Market259
Property Features for 5741 Arapahoe Ave
General Information
Standard status
Active
Size
5,226 SF
Lot size
4.46 Acres
Property subtype
INDUSTRIAL
Listing Agency:
The Colorado Group, Inc.
(720) 581-7022
Listed By:
Jason Kruse · License #ER.040003091
(720) 581-7022
Source:
Moodyscre
Added: Nov 23, 2025
Changed: Aug 8
Last Checked: May 20 at 10:02PM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of The Colorado Group, Inc.
Investment Insights
Based on property information with market context.
This commercial kitchen space, located in Boulder, offers accessibility within a commercial hub. The property, suitable for catering, food production, or other culinary ventures, features 5,226 square feet of space, including preparation, office, and storage areas. It is equipped to meet commercial kitchen requirements. The space includes three Type-1 hoods and a drainage system with strategically placed floor drains for cleaning and maintenance. Multiple preparation sinks are available. A convenient dock loading area facilitates transportation and logistics. Ample cold storage is provided by walk-in freezers and refrigerators. The layout offers the potential for division into two separate kitchen spaces.
Key Highlights
- Prime location in the heart of Boulder, offering unparalleled accessibility.
- Spacious 5,226 sq ft commercial kitchen space with preparation, office, and storage areas.
- Fully equipped commercial kitchen and commissary property suitable for various culinary ventures.
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$97,784
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
7.32%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$1,955,680
$2.0M
Cap Rate 7%
$1,396,914
$1.4M
Cap Rate 9%
$1,086,489
$1.1M
Market Conditions
NOI Build-Up for 5,226 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$138.0K $26.40/SF
− Vacancy
−$7.6K −$1.45/SF
EGI
$130.4K $24.95/SF
− OpEx
−$32.6K −$6.24/SF
NOI
$97.8K $18.71/SF
Area
Boulder, CO
Vacancy
5.50%
Lease Rate
$26.40 /SF/Yr
Expense Ratio
25.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$1,955,680
Cap Rate 7%
$1,396,914
Cap Rate 9%
$1,086,489
Alternative Uses
Best Use
Specialty Retail
$1.40M
$1.22M – $1.63M
NOI $97,784 @ 7.0% cap · market cap 7.32%
Second Best
Retail
$1.23M
$1.08M – $1.44M
NOI $86,195 @ 7.0% cap · market cap 6.46%
Theoretical Best
Office A
$1.77M
$1.55M – $2.06M
NOI $123,618 @ 7.0% cap · market cap 9.26%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
966
Businesses Nearby
31k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 64%
Dining 36%
Wendy's
Dining
11,218 visits/mo
0.5 miles
Shell
Shops & Services
8,352 visits/mo
0.4 miles
Conoco
Shops & Services
6,039 visits/mo
0.3 miles
Extra Space Storage
Shops & Services
1,954 visits/mo
0.1 miles
Caliber Collision
Shops & Services
1,738 visits/mo
0.0 miles
Market
Vacancy Rate% for Retail in Boulder, CO
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Commercial kitchen - Premium commercial kitchen space in a prime Boulder location.
Where is this commercial kitchen located?
The property is located at 5741 Arapahoe Ave Boulder, CO.
What is the asking price?
The asking price for this property is $1,335,000.
What are key features of this property?
This property features: Prime location in the heart of Boulder, offering unparalleled accessibility.; Spacious 5,226 sq ft commercial kitchen space with preparation, office, and storage areas.; Fully equipped commercial kitchen and commissary property suitable for various culinary ventures.
